How Predictive AI Will Change Shopping by Amit Sharma

How Predictive AI Will Change Shopping
by Amit Sharma | November 18, 2016

“Responsive retail has peaked, and we’re about to enter the era of predictive commerce. It’s time for retailers to help people find products in their precise moment of need — and perhaps before they even perceive that need — whether or not they’re logged in or ready to click a “buy” button on a screen. This shift will require designing experiences that merge an understanding of human behavior with large-scale automation and data integration.”

Machine Learning Beyond Forecasting
“Retail giants have been using machine-learning algorithms to forecast demand and set prices for years. Amazon patented predictive stocking in 2014, and saying that AI, machine learning, and personalization technologies have improved since then is an understatement. Retailers need to think more like tech companies, using AI and machine learning not just to predict how to stock stores and staff shifts but also to dynamically recommend products and set prices that appeal to individual consumers.”

Considering Privacy, Building Trust
“There’s almost always some trade-off between privacy and personalization; this has been true for every generation of technology. Retailers need to move forward with transparency, respect, and security as their priorities. They also need to show value.”